Issue - meetings

Report of the Chief Executive

(Listing Officer: Adam Hunt, Tel: 024 7697 6853)

Further to Minute 27 above, the Cabinet considered a private report of the Chief Executive, that would also be considered by Council at its meeting on 8^th September 2020, that set out the commercially confidential matters relating to the funding and delivery of Two Friargate. Appendices to the report provided a Site Plan and the General Masterplan Layout.

RESOLVED that the Cabinet:

1)  Authorises officers to arrange for the completion of the Agreement for Lease and all associated legal agreements between the Council and Friargate JV Project Limited necessary to allow the Council to purchase the 250 years long leasehold interest in the land and building to be constructed on Two Friargate (as shown edged red on the plan in Appendix 1 attached to the report).

2)  Authorises the completion of the Project Development Management Agreement and all associated legal agreements between the Council and Friargate Coventry Developments Limited necessary for the delivery of Two Friargate.

3)  Authorises the completion of all necessary documentations with statutory undertakers and service providers required for the provision of service to facilitate the delivery of Friargate Two.

4)  Delegates authority to the Strategic Lead – Property and Development, following consultation with the Finance Manager, the Director of Law and Governance and the Cabinet Member for Jobs and Regeneration, to undertake the necessary due diligence and approve the final terms of the purchase.

5)  Cabinet recommends that Council: 

  i.  Approves capital expenditure up to a capped amount of £17m from prudential borrowing to fund the grant of the 250 years long leasehold interest in the land to the Council and the delivery of the building to be constructed on Two Friargate.

  ii.  Makes available additional working capital up to the sum now indicated to match the other Friargate JV Project Limited shareholder’s contribution and ensure that the JV Company is adequately funded to promote schemes to investors and secure development in accordance with their business plan.

  iii.  Approves the necessary adjustment to the Capital programme to reflect the capital expenditure incurred in the delivery of Two Friargate.